Fact checking is a real process, but what “This America Life” did wasn’t fact checking. The press release about the retraction show referenced the “fact checking before the broadcast of Daisey’s story” and the original show included this from Glass: This
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Review

Excellent analysis on how 'This American Life' failed to fact-check Mike Daisy's fictional account of working conditions in Chinese factories. This blog post by Craig Silverman provides a good overview of this incident on Poynter's Regret The Error feature, focusing on what went wrong in this verification process, and how it related to core ethics in journalism.